In a recent New York Times article, certain investors who failed to prevail on their claims against their broker complained about the arbitration panel’s actions at the hearing. Specifically, arbitrators struggling to stay awake or being heard laughing about the facts of the case. In response to numerous investor complaints, the Financial Industry Regulatory Authority […]
A company hires a software engineer, or a stock broker, or perhaps a bio-chemist. This company, knowing the newly hired employee could in the future use his or her knowledge against them, requires the employee to sign a contract agreeing not to look for a job at a rival company for a set period of […]
In May 2014, the Financial Industry Regulatory Authority (FINRA) fined the bank Morgan Stanley Smith Barney LLC $ 5 million for supervisory failures related to the way its brokers solicited investments in certain initial public offerings (IPOs). Between February 2012 and May 2013, Morgan Stanley Smith Barney LLC sold shares of 83 IPOs to retail customers […]
The Washington Post reports that law firms and in-house counsel are increasingly using alternative fee arrangements, such as flat fees, for litigation. When the economic downturn prompted corporate clients to scale back their outside legal spending several years ago, law firms responded by experimenting with alternative fees. Alternative fee arrangements can be anything that is […]
Last week, the Financial Industry Regulatory Authority (FINRA) fined LPL Financial LLC, one of the country’s largest networks of independent broker-dealers, $950,000 for its failure to supervise sales of alternative investment products, including non-traded real estate investment trusts (REITs), oil and gas partnerships, business development companies (BDCs), hedge funds, managed futures and other illiquid pass-through […]
When an employee leaves one job for another, they often are surprised to find out that their previous employer might be able to prevent them from working in the same industry. Many employers write provisions into their employment contracts that seek to prevent employees from working for competitors. However, these provisions do not always comply […]
Disputes frequently arise between investors and their securities brokers. It is best to be proactive if you believe your broker has mismanaged your investments. As an investor, you may report any issues or disputes to your broker’s manager or the brokerage firm’s compliance department. You should keep notes of all telephone calls with your broker […]
Mark J. Krudys has been recognized by Super Lawyers Business Edition 2013 as a top attorney in commercial litigation. According to its publisher, the Business Edition “features the top attorneys in commercial practices across the nation and in London.” Each attorney featured in this Super Lawyers publication “exhibits excellence in the practice of law and has been […]
In 1991 Congress passed the Telephone Consumer Protection Act (TCPA), in an attempt to end unwanted prerecorded telemarketing messages and unwanted calls to cell phones. Although it was enacted more than 20 years ago, the Wall Street Journal recently reported that the number of claims for violations of the TCPA that are filed in, or transferred to, […]
According to the Wall Street Journal, veterans who hire financial advisors to assist them in receiving military benefits are at risk for abuse. These financial advisors are accredited by the Department of Veterans Affairs’ Office of General Counsel. Attorneys, veteran service organization employees, financial planners and others are all eligible to apply for such a […]